Lendy Ltd - case update

The Joint Administrators of Lendy Ltd, a peer-to-peer lending platform, are continuing to realise the company’s assets four years after it fell into administration in May 2019 amid an FCA investigation.

In their most recent update, Joint Administrators Phillip Sykes, Mark Wilson and Damian Webb of RSM advise that they are still pursuing nearly £60m in “live loans”. A live loan is any loan where the Joint Administrators are pursuing and expect further recoveries, either through asset realisations or claims under professional indemnity or guarantees. The nearly £60m figure is comprised of 12 live development finance loans (“DFLs”) with an outstanding value of £47.8m, and 19 live property bridging loans (“PBLs”) with an outstanding value of £10.6m.

£34.6m was realised from Lendy’s DFLs during the first 42 months of administration, with £16m distributed to investors, while £22.6m was realised from PBLs over the same 42-month period, with £10.2m distributed to investors. There have been additional recoveries and distributions on non-live loans where a formal insolvency process has ended or agreed settlements have been paid.

The administration process has most recently been extended to 23 May 2025 to allow the Joint Administrators sufficient time to realise the assets. They have indicated it is not currently possible to anticipate when the administration will end.

The Joint Administrators’ latest progress report can be found HERE. They have been assisted by Shoosmiths and Pinsent Masons.